Making Tax Digital for VAT: Is Your Dealership Ready?

With increased digitisation changing how customers buy products forever, dealerships are having to adapt the ways in which they operate. In fact, being a dealer is no longer a simple affair at all, especially when faced with an array of different systems, spreadsheets and even the odd post it note, just to get through the daily admin.

Stock, Enquiries, Sales, Website, CRM, Marketing, Invoicing, Accounting, Profit and VAT Reports, FCA Gabriel; a dealer’s to do list is endless. But the one thing that stands out the most when trying to tackle these tasks is that hardly any of these systems and spreadsheets talk to each other, which means multiple log-ins, duplicated data entry and a lot of wasted time which could be better spent on other areas of the business, with the family, or even out on the golf course!

Juggling so many systems just to keep everything in sync is not only inefficient but it also sounds frustrating and painful! Which is why dealership performance partners, Click Dealer, created an end-to-end system, which encompasses all this functionality and more, to help busy dealers save time and increase profitability significantly.

Click Dealer can provide integrated modules which can be taken out individually or collectively, enabling a far more efficient way to process business. The digital dealership experts offer a combined DMS and website platform, which in turn links into an enhanced lead management suite. All this is seamlessly interconnected to industry leading CRM and marketing modules as part of a frictionless operation, refined over almost 20 years of technical experience in the automotive sector.

With a specialist, in-house Automotive Search Engine Marketing team on hand to help drive more traffic to dealer’s websites, all of which is tracked. As well as the award-winning online retailing platform ClickEngage, which can be easily embedded into any website, enabling dealers to sell their vehicles directly online, Click Dealer offers everything the modern-day dealership requires in one solution, designed to cater for their every need.

Is Your Dealership Ready to Comply With HMRC’s Making Tax Digital For VAT Regulations?

From April 2019 HMRC’s new Making Tax Digital for VAT rules will apply to dealerships across the UK and all businesses must be prepared to submit their VAT returns via software which can communicate digitally with HMRC’s Application Programming Interface (API) platform.

The Making Tax Digital for VAT regulations require VAT registered dealerships with taxable turnover which is above the threshold of £85,000, to maintain their records in a digital format and file their VAT Returns by using appropriate software.

In recent times, it has become significantly more common for dealership’s records and accounts to be stored digitally, utilising software programmes on computers, tablets, smartphone applications, or even maintaining them through these devices and storing them by using a cloud-based application.

The main difference Making Tax Digital For VAT will bring for UK dealerships is that the software which they use must be capable of keeping and maintaining the records specified in the regulations. This software must also facilitate preparation of their VAT Returns using the information maintained in digital records and communicate with HMRC digitally via its Application Programming Interface (API) platform.

This is where Click Dealer’s award-winning ClickDMS product can provide the answer to dealer’s prayers by taking care of the whole process for them in a frictionless, integrated process, with minimal fuss.

ClickDMS is setup and ready to assist dealers with meeting the Making Tax Digital for VAT regulations from April 1st, 2019, the independent dealership experts are already working towards becoming a HMRC recognised supplier for VAT submission software and can help dealers to comply with the new VAT notice straightaway.

If dealer’s digital records are up to date, ClickDMS will be able to collate and prepare their returns. It will then display the return and ask dealers to declare that it is correct and confirm that they want to submit it to HMRC via one simple button. Once dealerships have submitted their return they will receive confirmation through the industry leading ClickDMS software that it has been received.

From Digital Invoicing to Accounts Integration

Inside ClickDMS, the digital invoice system is linked to dealer’s marketing databases and everything is GDPR compliant, so they’re fully setup to utilise customer retention campaigns to great effect. The DMS also captures all the data, so that it can automatically generate reports from acquiring stock, right through to selling it, and for every KPI in between, giving businesses a 360-degree insight into their overall performance.

Click Dealer doesn’t believe in re-inventing the wheel, so where possible its systems are integrated with external platforms, so that data can be shared to save time and combat double entering. A fine example of this is the ClickDMS accounts function which handily exports to both Sage and Xero.

ClickDMS is already setup to be fully compliant with next April’s digital VAT changes implemented by HMRC and can even send AutoTrader portal enquiries straight to dealer’s inboxes, to make sure that they remain compliant and prevent any lucrative leads from slipping through the net.

If you’re currently using paper based methods or excel spreadsheets to manage your VAT returns, give Click Dealer a call today, to find out about how ClickDMS can solve all of your problems at the click of a button! You can catch us on 01782 904 715 or [email protected].

Revhead Ramblings: Winter Tyres Are The True Overlooked Hero

I had to defrost my windscreen yesterday, thank you Ford for the Quickclear screen, and it finally set in that winter is upon us.

Dark mornings, dark nights, car heaters on full blast and the obligatory overload from the mainstream media ‘warning’ drivers about the ‘surprise’ penalty for leaving your car unattended with the engine on to defrost.

Media Attention

You might say they’re only trying to help, but if they were really trying to help they’d be giving drivers the most important reminder of all; buy winter tyres.

Unfortunately, as it does every year, it comes down to dedicated motoring publications to educate people on the importance of rubber specifically designed to work at the icy operating temperatures only found in the winter months.

The Benefits
  • Normal ‘summer’ tyres stiffen up when the temperature drops.
  • Winter tyres use a type of rubber (with a high silica content) and a tread pattern designed to stay flexible in low temperatures – below +7C – to give better braking and handling performance on snow and ice as well as on wet roads in cold conditions.
  • Winter tyres will be marked with a symbol showing a snowflake or snow-topped mountains.
The Argument for Winter Tyres

You may point out that there’s no guarantee it’ll snow at all this winter, while that may be correct these tyres aren’t just optimised for the white stuff. With their different tread compound and pattern, they’re designed to work in all winter weather, not just snow.

So, they should be boosting traction and safety in all temperatures below +8C, not just in the snow. Furthermore, by swapping your tyres, you’re saving the tread on your summer tyres too!

One of my favourite benefits though is happily passing people in SUVs who assumed their jacked-up hatchbacks were the superior choice when it comes to winter driving. Four driven wheels is always a good bet when the going gets tough, but when those driven wheels can’t find traction you’ve got no chance!

The Downsides

It’s undeniable that winter tyres save lives, however there’s a price to pay for superior traction. The cheapest tyres I could find for my Fiesta were £72.00 per corner. When you factor in swapping those onto your current rims or the cost of buying new alloys, as well as storing the spare set, it all adds up rather quickly.

The timing of swapping is crucial too, get it wrong and you’ll still have weeks of mild temperatures, these play havoc with the seasonal compound and can lead to slippier handling.

The Verdict

In colder countries, it’s a no brainer. Swapping to winter tyres is a must for everyone. In the UK however, it’s less clear cut. We could be battered by artic winds and snow and you’ll wonder why you didn’t buy them sooner, but you could also be faced with comfortable temperatures that render winters pointless.

Fitting winter tyres to your car in the UK is a bit like taking out car insurance. You’d rather not bother with the expense, but the benefit when the bad thing happens, be it snow or a crash, is a huge relief. While it may ruin the handling of your sporty roadster for a few months, you’ll be forever thankful when the cold weather does descend and they perform like you’d expect.

Winter tyres aren’t necessary for everyone, if you’re connected by well gritted A-roads it’s unlikely you’ll see the benefits, but for those who do have to negotiate a notoriously tricky hill or battle through snowdrifts, you’ll be forever grateful of making the switch!

Can Blogging Improve My Dealership’s SEO?

The short answer to “Can Blogging Improve My Dealership’s SEO?” is yes! A business blog can have a significant impact on your website’s search engine performance.

But, it is not enough to just have a blog, as this isn’t in itself a ranking factor and therefore will not on its own earn you a better position in search results. To actually make your blogging effective in improving your SEO, there are certain tactics you should be using.

Having a Blog Is Not a Ranking Factor

The position of each website on search engine results pages is determined by certain ranking factors, for example, page load speed and keyword usage. Having a blog is not a ranking factor, and I must stress this point because if you are expecting to climb that SEO mountain simply by having a blog, you aren’t going to get very far.

 

So, if blogs aren’t a ranking factor, how can they help your SEO? While a blog will not directly affect your search engine ranking, it will create opportunities for you to develop things which are ranking factors, such as content, time on page, internal links and external links.

Current Content

Imagine typing the following question into Google’s search bar: “What is the cheapest car to insure?” Two web pages are returned, one last updated in 2018 and one that hasn’t been updated since 2010. Which would you choose to get the most accurate answer to your question?

You’d choose the most current option, it’s a no brainer really. Search engines operate with this same logic, prioritising newer content on regularly updated websites, as this is likely to be more helpful to the user. A blog gives you the opportunity to create a flow of fresh content.

Unique, Relevant Content

Content is widely acknowledged as one of the most important ranking factors. This is because it is the easiest way for search engines to learn what each web page is about so that they can judge how relevant it is to a search query.

It can often be difficult to incorporate the specific keywords that search engines will look for on your product pages, especially long-tail keywords, but with a blog, this is easy.

Time on Page

Search engines want to provide users with the information that they are looking for so that they will return to use the service again, and a key indicator of how useful someone finds a website is the amount of time they spend on it. If a user leaves the page within seconds of arriving, it probably didn’t contain what they were looking for.

The more text there is to read on a page, the longer a visitor will stay to read it, which is another reason why blogging is so effective for SEO. It is also why I’d recommend writing no less than 300 words per blog article.

Internal Links

Internal links are a ranking factor because they help search engines gain a better understanding of what your website is about and emphasise your keywords.

As they are created by you, internal links are also one of the easiest SEO tactics to use, though they are often overlooked. The more blog posts you create, the more opportunities you open up to place internal links to other posts and pages within your site.

Backlinks

External links are another highly important ranking factor, but unlike internal links, they are sufficiently difficult to gain. This is because they must be supplied by other websites.

For an authoritative website to link to your own, you need to provide something of value to their visitors, such as expert knowledge or industry insights which can be communicated through a blog.

Plan of Action for Your Blog

In summary, simply having a blog is not a ranking factor, but it offers plenty of opportunities to raise your ranking. So, here is what you need to do to make your blogging effective:

  • Post regularly so search engines can see that your site is active (at least three times a month)
  • Create a list of keywords for your SEO campaign and use them to form your blog topics
  • Make your blog posts a minimum of 300 words long
  • Think about where you can add internal links with every blog post
  • Make sure you write valuable, high-quality content to encourage backlinks

If you are unsure about how to optimise your blog or simply don’t have the time to manage it, get in touch with Click Dealer today to find out about our in-house managed blog packages. Call 01782 454354, email [email protected] or message us through our contact page. 

Forecast: Growth for Used Cars in Q1 2019!

Good news for used car dealers as an insight report from Cox Automotive and Grant Thornton on the UK market has predicted a 2.5% growth in Britain’s used car sector for Q1 of next year, with around 2.08m vehicles finding buyers.  

The report also anticipated a slight Q4 fallback of – 0.5% for 2018, which was due to the reduction in supply of new cars caused by stocking problems as car manufacturers scrambled to meet WLTP regulations.  

Importance of Growing Used Cars and Aftersales Care 

“Car retailers across the U.K have shown great flexibility with many achieving success due to the strategic focus they placed on growing their used cars and aspects like aftersales operations.”  

“Dealers who achieved good sales for used cars this year will be in a great position to start 2019 strong, especially due to a predicted rise in used car sales for Q1,” said Cox Automotive’s customer insight and strategy director, Philip Nothard.  

Changing Consumer Buying Habits 

In relation to consumer buying habits, the insight report used both FLA Finance and Leasing Association figures to announce a near 50% rise in used PCP packages, which has increased by 23% over the past five years. The insight report also predicts these figures will rise to new car penetration levels of 80-90%, along with a surge in PCH (personal contract hire) and PCP (personal contract purchase) sales as more buyers are considering different alternatives to owning cars outright.  

Although new diesel sales have been sharply declining over the past few months, the report stated that wholesale demand for used diesels built after April 2017 has increased, with more people after SUV’s and lower medium models, which in Q1 of 2018 increased by 58.6% year on year.   

 

To find out about how Click Dealer can help your dealership make the rest of 2018 successful, get in touch via [email protected] or 01782 454354. Alternatively, you can send us a message through our contact page.  

Used Car Prices on the Rise?

According to Auto Trader’s retail price index, there has been a 5% increase from September 2017 in the average value of used cars bringing this to £12,853 for 2018.

From 2011 to now, used car values have risen a massive 42% from £8,997 to £12,731. Over this same period the average new car value has also seen a 19% increase from £21,911 to £26,105.

Change Towards the New

PCP deals have led to the shift towards shorter ownership of new cars over a two to three year period which has influenced the used car market as more newer models are finding themselves in the used sector.

This is a trend which has been ongoing as over the past five years, the number of cars younger than three years old has risen 32% with older models falling out of favour as cars older than five years saw a 3% drop and cars older than ten years saw a 10% drop in volume over the same period.

AFV (Alternatively fuelled vehicles) have experience a record breaking 3.9% demand growth for new sales displaying the understated demand for more environmentally friendly vehicles by the market.

EnquiryMAX’s Contrasting Findings

Lead management company enquiryMAX conducted a survey of 700 dealers and their average used car value is almost double that of Auto Trader’s at £20,369 which is down from £22,159 last year. These contrasting reports make it harder to gauge where reliable figures for used car values lie. However, enquiryMAX also found the total used vehicle market is up by 11% year on year therefore both companies can agree that used car prices are on the rise even if their figures are slightly different.

 

To find out about how Click Dealer can help your dealership make the rest of 2018 successful, get in touch via [email protected] or 01782 454354. Alternatively, you can send us a message through our contact page.

Revhead Ramblings: How the government are trying to kill the EV revolution

It seems like we were just about gaining momentum in the EV revolution and now we’re cutting the plug-in car grants.

Cars are often used as the golden standard of environmental destruction. We know that our driving is hurtful to the environment but so is our beef consumption. I’m yet to see Mrs May put a tariff on cows…

In the News

These past few weeks wherever you look, people are discussing the UN’s prediction that we have just 12 years to save the planet. Cutting CO2 production, curbing deforestation and changing our diets will all contribute positively to this, yet the government have announced they’re scrapping the grants for plug- in hybrid buyers.

Now in an ideal world we wouldn’t need to pay people to make the switch, as it is the right thing to do. However, our world is far from ideal and paying a percentage of the price of a car is nothing in comparison to the difference it will make in the long run.

The Figures

From next month, the current subsidy programme for electrified vehicles will be overhauled completely. No plug-in hybrid on sale will be eligible for a list price discount – previously £2500 (and before 2016 £5000) – while even the subsidy for full EVs will be cut by £1000.

These changes have come as electrified vehicle sales had really started to gather momentum. Up until September of this year PHEV and EV sales made up just 2.5% of new car sales in the UK. Somehow, the government see now as the optimum time to cut grants for PHEVs as ‘the market is more established’ and doesn’t need the support anymore.

Norway: The Model Country

Off the bat, Norway is a very different country to us. They have a huge sovereign wealth fund and it generates most of its own electricity from hydroelectric plants. Having said that, over half of new cars registered there last year were plug-in hybrids or BEVs. Their two best selling cars are fully electric. It’s easy to see why when their EVs are exempt from VAT, import and purchase taxes and pay reduced fees for ferries.

Norway took to their EV revolution before us and with more vigour, so why are they still offering incentives when the people are taken, yet we’re cutting modest grants at the forefront of our change?

Regardless of the incentives for buyers, manufacturers will be the ones to guide us to EVs. As they increase the range of BEVs, reduce their price and help to develop a better charging network. I’d like to say this is because they want to make an active change for the better, in reality it’s for them to hit their stringent fleet average CO2 targets. I’m sure further grants will be offered in the future, but for now we’re in real danger of stalling our EV revolution.

Used Car Market Boasts Strong Sales for September!

A new survey by lead management business specialist enquiryMAX has found UK dealers enjoyed a good September for used car sales, which have increased year on year by 11%.
Decrease in Average Used Car Price

The data also displays that the average used car price has dropped 8% from £22,159 in 2017 to £20,396 for this year, along with the value for part exchange vehicles dropping 7.5% to £9,790.

Capitalising on Leads

Managing Director of enquiryMAX, David Boyce commented: “Dealers are seeing a continued profit opportunity in used cars, which is ideal as the new car sector faltered in September.”

Boyce also stated that it’s important that all parts of a dealership work together to drive leads, the strongest of which are leads generated by customers who have done their research before looking at vehicles. Around 40% of consumers buy on the day of making a sales enquiry and 35% of deals are closed within ten days.

Digital communication methods such as the internet continue to dominate as with an increase of 15% for leads while telephone leads declined 4.3%.

To find out about how Click Dealer can help your dealership make the rest of 2018 successful, get in touch via [email protected] or 01782 454354. Alternatively, you can send us a message through our contact page.

Click Dealer Wins F&I Digital Award!

F&I Conference and Awards 2018
Last night at the annual F&I Conference and Awards, Click Dealer claimed the F&I Digital Award for our online vehicle retailing product, ClickEngage™!

BBC Breakfast’s Louise Minchin, who was the host of the ceremony presented Click Dealer Directors Gerry and Ollie Moxham with the prestigious award.

The F&I Digital Award was sponsored by Find and Fund My Car and according to the awards provider, “This Award recognises the digitisation and omni-channel changes that are affecting the F&I sector. Changes in customer buying behaviours and their preferred methods of engagement with dealers mean that a digital focus is an essential part of an F&I strategy.

“This Award has a digital focus, and will go to a dealer or service provider that can demonstrate innovative digital approaches to gaining customer engagement and providing quality of service.”

Click Dealer are very honoured to receive this recognition. We are a company founded on the belief that digital innovation drives performance and business growth for the dealerships who employ our services, and to receive an award for the impact our product has made on the F&I sector is a massive achievement.

ClickEngage™ was created because we believed that there was a more efficient and convenient way to buy and sell cars for dealers and customers alike. We pictured a system which allowed individuals to take control of their own deal, structuring it as they please with a part-exchange, finance agreement and add-on products all from the comfort of their own home, and that is what we developed.

Our online vehicle retailing product has affected the F&I sector by allowing customers to be instantly accepted for car finance online, without compromising the dealer. Car dealers themselves can have finance enquiries managed out of hours to ensure that no lead is lost.

Click Dealer were also finalists in the F&I Product Innovation Award category For ClickEngage™, losing out to eventual winners, Marsh Finance Limited in what was another fiercely contested battle.

Motonet Used Cars, who are one of Click Dealer’s dealership performance partners, also scooped an award on the night, winning the Independent Used Car Dealer of the Year (Under Three Sites) award!

Click Dealer Managing Director, Gerry Moxham, said: “We’re absolutely thrilled to receive the F&I Digital Award for ClickEngage™, having managed to pip some incredibly tough competition to the post!

“It’ was a fantastic night up in Leeds and it’s a wonderful barometer of our success that we are now being recognised at such prestigious industry award ceremonies on a regular basis.

“I’d like to thank DealTrak for putting on such a wonderful event as always and huge credit should also go to the amazing Clickers back in Stoke-on-Trent, without whom our wonderful ClickEngage™platform wouldn’t have been possible.”

To find out more about how our award-winning online retailing platform, ClickEngage™, can make an impact in your business, get in touch via  [email protected] or 01782 454354. Alternatively, you can send us a message through our contact page. 

Click Dealer Hoping for Success at Tonight’s F&I Conference and Awards

FI-Awards-2018
Tonight, Click Dealer will be attending the eighth annual F&I Conference and Awards in the hopes of taking home an award or two! 

This year, the event will be held at New Dock Hall in Leeds, hosted by Journalist, Broadcaster and TV Presenter, Louise Minchin, with speeches from Robin Sieger, Gyles Brandreth and a number of industry experts. 

The F&I Conference and Awards recognise the successes of finance brokers, lenders, insurers, car dealers and other suppliers who have impacted the industry.  

Click Dealer has two chances of winning an award tonight, as we have been nominated in both the Digital F&I Award category and the F&I Product Innovation Award category. 

Digital F&I Award – sponsored by findandfundmycar.com 

This award celebrates a dealer or service provider who has adopted digital approaches to engage with customers and improve service. 

F&I Product Innovation Award – sponsored by Oodle Car Finance  

This award will be given to a nominee who has developed products or processes that have driven performance in the field of finance and insurance. 

We have been nominated for our revolutionary online retailing platform ClickEngage™ in both categories. This product is a clear representation of how we have embraced digital methods to help our car dealers secure and manage more leads.  

ClickEngage™ is not only a reaction to a changing industry, but a sign of us actively impacting and shaping the traditional way in which dealerships handle finance enquiries, and we are hoping that this will help us secure an award tonight. 

To find out more about how ClickEngage™ can make an impact in your business, get in touch via  [email protected] or 01782 454354. Alternatively, you can send us a message through our contact page.  

Has the Traditional Part-Exchange Process Become Outdated?

Recent research into consumer attitudes conducted by Motors.co.uk reveals that people dislike the administration, negotiation and part-exchange processes involved in purchasing a car.

1,000 consumers participated in the survey, which aimed to find out their favourite and least favourite experiences in car dealerships.

67% of respondents reported that they enjoyed the experience of viewing cars at a dealership, 65% were happy with receiving delivery of their vehicle and 63% liked test driving cars.

However, dissatisfaction with other aspects of buying a car has also been brought to light. 47% of the individuals surveyed said that they disliked the way administration necessary for transferring vehicle ownership is handled, while 39% were unhappy with how trade-in value is agreed and 36% did not like the negotiation.

It is comforting to know that consumers are generally happy with the experience of choosing and receiving their vehicle, but it is equally important to respond to the pain points identified, considering how processes can be improved.

Improving Processes

Motors.co.uk’s sales director Marc Robinson commented: “The burden of completing change of ownership paperwork can be addressed simply by dealers giving customers a checklist ahead of them coming in to collect their vehicle. This would need to cover things like making sure they bring in their V5, both sets of car keys and remember to cancel insurance cover.”

In terms of part exchanges, he said, “It’s not surprising that customers do not like haggling over trade-in values, which is why online part-exchange valuation services are so important. Buyers can therefore arrive at a dealership with a realistic, rather than emotional, view of how much their car is worth.

Most car buyers today do not want to have to haggle, they want the easiest and most convenient part-exchange experience possible so that they can focus on their new car rather than their old one. Ideally, they would have accurate quote before arriving at a dealership, so that they know how much they can expect to be paid. In other words, dealers can make part exchanging more appealing and gain trust by being transparent.

Part Exchanges with ClickEngage™

We believe that ClickEngage™ offers the best solution to customer dissatisfaction with the part-exchange process. With our online retailing software, customers will be able to receive an instant but accurate valuation, simply by entering basic information including the registration number, mileage and condition of a vehicle.

Our system will request a valuation from Cap HPI, and before returning it to the consumer, it will be adjusted to adhere to any parameters a dealer sets beforehand, to give the most accurate quote.

The reason why this method is so popular with customers is that it puts them in control. They are given a value, without the hassle of negotiating and then they can continue building their own deal through ClickEngage™ straight away.

For more information about ClickEngage™ or to receive a free demo, email [email protected], call us on 01782 904 715 or alternatively, you can message us via our contact page.